Tuesday, October 29. 2013

Energy-related carbon dioxide emissions declined again in 2012, making it the fourth year of decline in the last five years, according to the U.S. Energy Information Administration (EIA).

The overall carbon intensity of the U.S. economy declined by 6.5 percent in 2012, which is the largest drop since records have been kept (1949). Only 1952 and 1981 had declines that exceeded 5 percent.

"Energy-related carbon dioxide emissions" are emissions released at the location where energy is used to generate electricity, transportation and manufacturing.

The energy-related carbon dioxide emissions declined 3.8 percent in 2012, EIA stated. "The 2012 downturn means that emissions are at their lowest level since 1994 and over 12 percent below the recent 2007 peak," according to EIA.

Additionally, emissions have declined five of the last seven years.

The decline in energy-related carbon dioxide emissions occurred when the U.S. economy grew in 2012. "Although GDP increased by 2.8 percent in 2012, energy consumption fell by 2.4 percent," EIA said. "With population growth of about 0.7 percent, per capita output rose by about 2 percent in 2012. The emissions decline was the largest in a year with positive growth in per capita output and the only year to show a decline where per capita output increased 2 percent or more."

How on Earth did energy-related carbon dioxide emissions decline when the U.S. had a population increase and economic growth?

Answer: natural gas and milder weather.

Because of the decline in the use of coal and increased use of natural gas, the carbon intensity of electricity generation was substantially reduced. Coal usage declined by 215 billion kWh while natural gas increased 211 billion kWh in 2012 when compared to 2011. Wind increased slightly by 19 billion kWh and hydro declined by 42 billion kWh.

A mild heating season helped dampen energy demand and related emissions in 2012, EIA said. "Half of the overall energy decline was from the residential sector, where a very warm first quarter of the year lowered energy demand and emissions," according to EIA.

Alex Mills is President and Chief of Staff of the Texas Alliance of Energy Producers. The opinions expressed are solely of the author. Alex Mills can be reached at alexm@texasalliance.org.

Texas is the number one producer and consumer of natural gas, but will
Texans ever embrace CNG as an energy source for their personal vehicles?
Ford recently announced that the best-selling vehicle in America, the
F-150 pickup, will now offer a compressed natural gas-ready version.
Ford's Fleet and Sustainability Manager Jon Coleman addressed the North
Texas businesses, energy partners, students and alumni at the TCU Energy
Institute on Tuesday, October 22nd. This is the inaugural address of a
new Kenneth W. Davis lecture series at TCU which focuses on innovative
energy solutions. READ THE REST OF THE STORY.

Tuesday, October 8. 2013

The head of the Energy Information Administration (EIA), the data collection arm of the Energy Department, projects that the U.S. will become the largest producer of crude oil and natural gas in the world this year if it hasn't done so already.

"This is a remarkable turn of events," said Adam Sieminski, the head of the Energy Information Administration. "This is a new era of thinking about market conditions, and opportunities created by these conditions, that you wouldn't in a million years have dreamed about not long ago."

Saudi Arabia remains the world's largest producer of crude oil and related liquids. As of July, Saudi Arabia was producing 11.7 million barrels per day (bpd), according to the International Energy Agency. Russia was second, at 10.8 million bpd, with the US third at 10.3 million bpd.

While oil production in Russia has remained flat the past few years, U.S. oil production has grown and erased a 3 million barrel per day difference. The amount of crude from the Bakken oil field in North Dakota, the Permian Basin in West Texas and the Eagle Ford shale formation in South Texas continues to rise rapidly.

The Russian government predicts oil output will remain flat through 2016, while natural gas is up 3%. If Russia's oil and natural gas wells flowed at the same rates as they did in 2012, total US production would have surpassed them on a daily basis this summer, according to EIA.

In 2012, the U.S. produced more natural gas than Russia for the first time since 1982.

The rise in oil and gas production in the U.S. has reduced imports and closed the huge trade deficit. Oil imports are down 32 percent and natural gas imports declined 15 percent.

Russia's natural gas exports have declined because of economic conditions in Europe and increased competition.

Russian energy analysts believe that the increase in U.S. oil and gas production will not last very long. They believe the increased production from shale will run into trouble.

The head of OPEC also cast doubt on increased U.S. production recently.

Everyone in the oil and gas industry in the U.S. knows that shale drilling and production is very expensive. If exploration and production cannot be profitable, activity will decline. The industry has witnessed the decline in natural gas activity because natural gas prices have fallen and costs have not followed suit.

Just as important as price is action taken by government regulators that could drive up costs dramatically or prohibit drilling activity altogether.

However, the industry in the U.S. and Texas continues to expand.

Dramatic upward revisions of crude oil production in Texas combined with strong crude prices and strengthening natural gas prices propelled the Texas Petro Index to a record high for the second straight month.

"The Texas Petro Index continued its march into record territory in August, rising to 289.8," said Karr Ingham, the economist who created the TPI and updates it monthly.

That eclipsed the old record, set in July, which itself was revised upward by Ingham to 288.2 from 287.7 due to ongoing, upward revisions of Texas oil production since the July 2013 TPI was released less than 30 days ago.

Alex Mills is President and Chief of Staff of the Texas Alliance of Energy Producers. The opinions expressed are solely of the author. Alex Mills can be reached at alexm@texasalliance.org.

Tuesday, September 17. 2013

Operating companies and engineering firms have contended for decades that the alleged 'methane leaks' from natural gas operations were low and not high so as to cause a 'climate disaster' and significantly accelerate global warming as claimed by anti-drilling activists. A new, highly anticipated report from the University of Texas at Austin and the Environmental Defense Fund should finally put an end to those arguments. This report is based on unprecedented measurements providing a better understanding of methane emissions during natural gas drilling, completion (hydraulic fracturing), production and transmission.

The UT-EDF study released yesterday September 16, 2013, looked at 190 onshore natural gas production sites in the United States. The authors found that emissions were "nearly 50 times lower than previously estimated by the Environmental Protection Agency during completion activities (including hydraulic fracturing). The UT-EDF study's findings (along with data from the latest EPA Greenhouse Gas Inventory) suggest a leakage rate of only about 1.5 percent, if not less than that. That rate is comfortably below the threshold required for shale to maintain its obvious and significant climate benefits.

The data also shows emissions from pneumatic controllers and equipment leaks are higher than EPA national emission projections. Estimates of total emissions are similar to the most recent EPA national inventory of methane emissions from natural gas production.

The new study from The University of Texas at Austin reports on extensive measurements of methane emissions — including the first measurements for methane emissions taken directly at the well pad — during completion operations for hydraulically fractured wells. A team of researchers from UT Austin's Cockrell School of Engineering and environmental testing firms URS and Aerodyne Research completed measurements at 190 natural gas production sites across the United States. The study was published September 16, 2013 in the Proceedings of the National Academy of Sciences.

The study, a unique partnership between the Environmental Defense Fund, participating companies, an independent Scientific Advisory Panel and the study team:

Is based on measurements made directly at 190 production sites throughout the United States, with access provided by nine participating energy companies.

Found that the majority of hydraulically fractured well completions, which were sampled during the study, had equipment in place that reduces methane emissions by 99 percent. Because of this equipment, methane emissions from well completions are 97 percent lower than calendar year 2011 national emission estimates, released by the Environmental Protection Agency (EPA) in April 2013.

Found that emissions from certain types of pneumatic devices are 30 percent to several times higher than current EPA estimates for this equipment; combined, emissions from pneumatics and equipment leaks account for about 40 percent of estimated national emissions of methane from natural gas production.

Found that the total methane emissions from natural gas production, from all sources measured in the study, were comparable to the most recent EPA estimates.

The study's measurements will help inform policymakers, researchers and industry, providing information about some of the sources of methane emissions from the production of natural gas and better inform and advance national and international scientific and policy discussions with respect to natural gas development and use.

Wednesday, September 11. 2013

Various reports have indicated that as the emerging Utica Shale in Ohio becomes better understood as more wells are drilled, the focus is shifting south and east. In this area, operators have found the play to be more productive, with production including significant volumes of more valuable liquids. It is in the play’s southeastern area where operators such as Antero and Gulfport have reported the biggest initial production flow rates for the Utica Shale to date. In addition, it is telling that Aubrey McClendon’s new venture American Energy Partners is reportedly seeking acreage in this area that is located south of the majority of Chesapeake’s large leasehold position.

As a result, we decided to take an in-depth look at the Ohio Department of Natural Resources’ drilling permit data for Utica Shale wells. The data spans the issuance of the first two Utica drilling permits back in late 2010 through Aug. 31 of this year. You can find our analysis in this week’s Shale Research section.

Thursday, August 15. 2013

Courtesy of the Powell Shale Digest Texas Railroad Commissioner Christi Craddick spoke Friday, August 9th on an energy panel about the importance of hydraulic fracturing technology during the American Legislative Exchange Council (ALEC) 40th Annual Meeting in Chicago. ALEC works to advance the principles of free-market enterprise, limited government, and federalism at the state level through a partnership of America’s state legislators, members of the private sector and the general public.

Commissioner Craddick said, “While the energy industry method of hydraulic fracturing, or fracking, has been a common industry practice in Texas since 1949, we are in the midst of an energy transformation in the way that we produce energy in this country—safely, responsibly and affordably through the use of proven technologies that continuously advance each year, namely fracking. As this technology evolves within the industry, state regulators are working to strengthen regulatory oversight to tighten well construction and waste disposal standards and also require disclosure of fracking fluid components.”

“An estimated 60 percent of all wells drilled worldwide are hydraulically fractured, and fracking is estimated to be used in about 80 percent of new wells completed in Texas today,” Craddick said. “Texas is the 14th largest oil producer in the world, producing an average of 1.6 million barrels per day and accounting for 30 percent of total U.S. oil. This energy revolution has created hundreds of thousands of well-paying American jobs, has strengthened the American economy, and has placed us in a position to realistically achieve energy independence by the year 2020. This immense growth can only be attributed to fracking.”

“If production numbers, economic value and job growth are not enough, the Saudi Prince Alwaleed bin Talal wrote in concern to Saudi government leaders last week cautioning them that fracking in America will reduce American dependency on Saudi oil,” Craddick said. “For almost 50 years, OPEC has manipulated oil markets, holding the United States captive to their supply-and price-setting whims. Thanks to fracking technology, America is moving closer to fulfilling its energy needs domestically.”

Wednesday, July 31. 2013

The Ohio permitting represents new Utica/Point Pleasant Shale and Marcellus Shale (if any) horizontal drilling permits listed in a report issued weekly by the Ohio Department of Natural Resources Division of Oil and Gas Resources Management. The Pennsylvania permitting represents new “Drill & Operate Well” permits for wells classified as “Unconventional” (no target formations are listed) that have been issued over the most recent week available by the Pennsylvania Department of Environmental Protection Office of Oil and Gas Management.

The tables with the permit data are followed by maps where the permitted locations are indicated based on the latitude and longitude information provided by the ODNR and PADEP. The locations on the maps are labeled with ticker symbols for publicly-traded firms and ticker-like abbreviations for privately-held firms. There is a glossary below the maps to help match the symbol with the operator. We’ve started with Texas, Ohio, and Pennsylvania because regulators in these states make permitting data relatively easy to obtain. We are looking to look to add even more states’ permitting data for shale plays if it is available to help give our readers a better idea of where shale drilling will be taking place in the near future.

Monday, July 29. 2013

Courtesy of the Powell Shale DigestTexas Railroad Commissioner Christi Craddick, in testimony July 25th before the U.S. House Committee on Natural Resources’ subcommittee on Energy and Mineral Resources, said that efforts to impose cumbersome federal regulations on hydraulic fracturing in Texas by the U.S. Environmental Protection Agency (EPA) would be detrimental to Texas energy production and job creation. “Texas has successfully regulated oil and gas production for almost 100 years and knows better than the federal government how to both serve and protect the unique interests of our state,” Craddick said in her testimony in support of HR 2728 (Flores), the Protecting States’ Rights to Promote American Energy Security Act. “ A one size fits all model does not work, as different rules for different states are most effective in adhering to a wide variety in geography, geology, and environments,” Craddick said. Read the rest of the Story

Friday, July 19. 2013

PITTSBURGH (AP) — A landmark federal study on hydraulic fracturing, or fracking, shows no evidence that chemicals from the natural gas drilling process moved up to contaminate drinking water aquifers at a western Pennsylvania drilling site, the Department of Energy told The Associated Press.

After a year of monitoring, the researchers found that the chemical-laced fluids used to free gas trapped deep below the surface stayed thousands of feet below the shallower areas that supply drinking water, geologist Richard Hammack said. (read the rest of the story)

Thursday, July 11. 2013

A lot has been written about hydraulic fracturing. Some has been true, but most has been either a distortion of the facts or outright misstatements made intentionally to make fracturing seem like a new process that uses an exorbitant amount of water.

First, fracturing has been a part of the oil and gas exploration and production effort since just after World War II. That's 60-plus years of thousands and thousands of wells being fractured without a single case of groundwater contamination. The new technique of fracturing that has been developed in the last 20 years uses more water than previous techniques. Environmental groups have alleged that the use of all this water is inappropriate and should be stopped.

However, after examining the water use data from the Texas Water Development Board, the oil and gas industry uses less water than any other category. Oil and gas (actually the category is listed as mining which includes oil and gas) used only 1 percent of the water in Texas, according to the 2011 Water Use Survey (the most current data available) that was updated on June 3, 2013. Irrigation used the most water, accounting for 61 percent of the water used in Texas. Irrigation was followed by municipal use at 27 percent, manufacturing at 6 percent, steam electric power at 3 percent, livestock at 2 percent and mining at 1 percent. Read the rest of the story. (click here)

Friday, October 1. 2010

OGInfo.com LLC (OGI) and WhiteStar Corp. have teamed to make the WhiteStar Grid product available for online licensing via OGI’s Direct Spatial Download (DSD). This cooperative agreement makes it easier for GIS users to search, select and download land grid coverage from the WhiteStar Grid.

Through the newly introduced data delivery mapping system, Direct Spatial Download, OGI enables its users to search and select an area of land and instantly download the land grid data relating to the selected area of interest. The Direct Spatial Download service eliminates the need for GIS customers to license data on a CD and wait for its delivery by mail or courier. And most importantly, Direct Spatial Download clients never have to license areas of data they don’t need.

WhiteStar Grid provides a seamless digital mosaic of land survey and fitted state and county boundaries covering all public land survey states, including Texas and Offshore State and Federal Water in the Gulf of Mexico. WhiteStar created the Grid database product manually by digitizing 1:24,000-scale USGS topographic maps.

“The OGI difference is that we give our clients the ability to use our highly intuitive online map to search an area of interest, draw a complex polygon around it, and download the data intersect on that polygon,” said Chad Feerick, President and CEO of OGI. “The flexibility and precision of search and downloads is advantageous in disciplines related to land management, oil & gas exploration, right of way maintenance, pipeline operations, and geologic mapping.” Sign up for free.

About OGInfoOGI provides comprehensive and custom GIS mapping services and data management. The industries we serve depend upon highly accurate digital maps containing a variety of valuable embedded land data. OGI specializes in these custom web-based maps that deliver the graphic navigation and data search and retrieval functions requested. OGI also provides a large number of other GIS products and services that help our clients utilize the power of GIS mapping integrated with industry specific data.

About WhiteStarHeadquartered in Lakewood, Colorado, The WhiteStar Corporation has supplied digital cartographic data products, services and consulting since 1990 to the oil and gas, pipeline, natural resource, and engineering industries.WhiteStar takes a collaborative approach to empower their clients with the most accurate data possible enabling them to analyze results quickly to make crucial strategic decisions. More than 1,600 companies ranging in size from local consulting firms to integrated multi-national corporations rely on WhiteStar's "Geospatial Wisdom" to get the answers they need to explore with confidence.

Sunday, January 24. 2010

OGInfo.com LLC (OGI) is pleased to announce the launch of its new and improved web site. The upgraded and updated site is the result of months of analysis, design, and programming. Our goal is to provide our visitors with valuable information about OGI, it GIS mapping, services and products. OGI is the leading provider of quality data rich GIS maps and a multitude of other GIS services and GIS data. OGI has the technical proficiency and experience to provide economical GIS solutions to a variety of industries and government entities. Our new web site is designed to make it easy to explore the many way that GIS mapping can help companies find and utilize valuable gis data including parcel data and digital maps. OGI now has nationwide parcel data. With over one million parcels, a powerful system of web-based mapping applications and a vast store of GIS data sets, OGI is positioned to be the leader in the GIS mapping and data industry.

OGI provides comprehensive and custom GIS mapping services and data management to a number of industries including oil & gas, land, utilities, government entities and more. The industries we serve depend upon highly accurate digital maps containing a large quantity and variety of valuable embedded GIS data. OGI specializes in these custom web-based maps that deliver the graphic navigation and data search and retrieval functions requested. We also provide a number of other GIS products and services that help our clients utilize the power of GIS mapping integrated with industry specific data.

For more information about OGI, it's GIS data, parcel data and GIS maps, please contact us at 361-904-0071. Pleas ask for Canton Hall or email Mr. Hall at canton@oginfo.com.

Wednesday, June 24. 2009

Surface mappers diversify efforts

CORPUS CHRISTI - It wasn't the slow economy that prompted owners of OGInfo.com to diversify. In fact, the surface mapping company started four years ago.

Established in 2005, the company did parcel mapping for customers in the oil and gas industry. The intention never was to deviate from what was profitable and was helping to brand the company name.

That same year, partners James Davis, Chad Feerick and Shawn Rancatore capitalized on the opportunity to open a mapping company in India with one of their former employees. OGI owns 50 percent in that venture while Prashanth Chintamaneni, a software developer, and his brother, Pramod Chintamaneni, own the other half.

Three years later, they decided to pursue contracts for mapping parcels through county appraisal districts. In October, the company received its first contract from the Bee County appraisal district.

"It was the county appraiser who was familiar with our oil and gas work who pushed for us to submit a bid,"Â said Feerick, the company's president. "We're glad we did. Since October, our local government division has brought in about $350,000. It was a big help when the economy turned south for us in December."Â

Although diversification wasn't the only reason the company has stayed afloat while some others have folded, Davis said, it helped. Travis Grumbles, director of government services, said clients include Bee, Palo Pinto, San Patricio, Liberty, Refugio and Colorado counties.

Grumbles said OGI expects to land six more government contracts by the end of the year.

"Oil and gas customers like things fast and cheap, so we've applied the same principles to government work,"Â Grumbles said. "We do software development, archival map scanning and online services. We do our own deed research and we can work around the clock, thanks to our guys in India."Â

Friday, June 12. 2009

Local company's big break comes from chance meeting

Posted: Fri, 31 Oct 2008 10:22:00 -0500

Corpus Christi-based OGInfo.com was awarded contract for GIS system in Bee County

CORPUS CHRISTI - A chance meeting with the LaSalle County chief appraiser this past spring led to OGInfo.com's contract with the appraisal district of Bee County earlier this month. The Corpus Christi-based company plans on it being the first of many.Travis Grumbles, the company's head of governmental services, said he approached numerous counties in the state asking for information on bidding for county and municipal geographic information system projects. The GIS system digitally maps roads, parcel lines, surveys, water bodies, pipelines, oil and gas wells, floodplains, parks, city limits and jurisdictional boundaries. "As I went along talking to chief appraisers for various counties, we came across the one for LaSalle County," Grumbles said. "Months later, he became the chief appraiser for Bee County. We submitted the bid and got the job."

Photo by George GongoraBill Fuller, foreground with hands up, is the Kenedy County Appraiser who came here to meet with Corpus Christi-based OGinfo.com, an oil and gas mapping company team. Fuller is looking at a Kenedy county map provided by OGinfo.com showing different boundary tracts and to compare accuracy. the OGinfo.com team members in background are from clockwise left to right: Chad Feerick; James Davis; Shawn Rancatore; Travis Grumbles; Canton Hall.

Domingo Palomo, Bee County's chief appraiser, said the LaSalle office received a couple of calls a year from companies looking to expand into governmental work. OGInfo.com's call was not unusual. "When I came to Bee County, I asked (the company) to come in and put in a bid," said Palomo, who began working in South Texas in July. "It didn't matter that they didn't have governmental experience. Maps are maps and the board liked their presentation." OGInfo.com has been doing this type of work for the past 10 or so years, but for oil and gas clients, Grumbles said. This is the first governmental contract it has applied for and been awarded, he added. "We wanted to work more for municipalities, especially those in South Texas," Grumbles said. "Most of it has to do with the cost, but the (GIS) system can make departments more efficient. It eliminates foot traffic by offering much of the county's information online."

Photo by George GongoraBill Fuller, Kenedy County Appraiser, at far right; listens to a Corpus Christi-based OGinfo.com team about setting up a GIS system for Kenedy County on Wednesday. The oil and gas mapping company OGinfo.com ventures in the government sector represented here by (clockwise from bottom): James Davis; Canton Hall; Travis Grumbles; Shawn Rancatore; Chad Ferrick

Bee County has a GIS system, but not all the information on a parcel has been added. OGInfo.com will fill in those attributes and complete the work, Palomo said. The $20,237.95 project is expected to be completed by Jan. 1, county and company officials said.